Spin Master has announced financial results for the three months ended March 31, 2022.
Toys revenue rose $95.3 million, or 37.3%, to $350.9 million, driven by growth across all product categories, especially Preschool & Dolls & Interactive and Toys Wheels & Actions.
Total toy product sales increased from $294.7 million to $397.5 million, an increase of $102.8 million, or 34.9%. Constant Currency Toy's total product sales increased by $107.9 million (36.6%) from $294.7 million to $402.6 million. This improvement was driven by growth at Gabby's Dollhouse, DC Comics and The Wizarding World, reflecting strong customer demand and Spin Master's continued success in managing fluctuations in global supply chains.
Spin Master now expects total toy product sales to grow in the low double digits in 2022 compared to 2021, up from the mid-to-high digit previously announced on February 28, 2022. The seasonality of total toy sales in 2022 is expected to be around 40% in the first half of 2022.
Spin Master global president and CEO Max Rangel said: "After a very strong 2021, we are very pleased with the positive momentum in the first quarter of 2022 across all three of our creative hubs."
"The Toy Ideas Center has benefited from strong customer demand for our innovative toy line, and our global commercial team continues to manage supply chain volatility to ensure we deliver products on time. The Digital Game Ideas Center, led by Toca Life World, continues to generate strong users Stickiness and Momentum. This quarter's results reflect Spin Master's potential to create magical gaming experiences for children, no matter where they are - from our diversification underpinned by franchise brands, partner licensing and exciting innovations The power of the toy combination, to our captivating multi-platform entertainment content and open digital playground."
Spin Master Chief Financial Officer Mark Segal added: "In the first quarter of 2022, the financial and operational performance of our Toys, Entertainment and Digital Games Creative Center was very strong. We are pleased to improve our revenue outlook for 2022. This quarter we Introduced a new segment reporting structure that provides a better view of the drivers of our revenue and margins and provides shareholders with more visibility into our performance.
"We remain committed to our value creation financial framework, underpinned by our innovation formula and orderly global growth across all of our creative hubs. Our solid financial position provides opportunities to leverage our global platform for organic growth and acquisitions. "
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